The pandemic surfaced lurking global supply chain issues, exposing its vulnerabilities. It has also pushed forward the need for digitalisation and real-time data by highlighting the importance it plays in today’s fluid situation.
Port congestions, irregular shipping schedules and manpower shortage are just some of the issues plaguing businesses in today’s supply chain. Businesses now face the challenge of making decisions in the midst of uncertainty to mitigate the situation, such as by managing buffers for “just-in-case” instead of pre-pandemic “just-in-time” measures. These pressures on the supply chain have also caused a ripple effect downstream giving rise to inflationary effects not felt just by businesses, but by consumers alike due to rising inventory, shipping and risk management costs. The importance of building a resilient supply chain thus remains an important building block for businesses.
To remain resilient, diversification is insufficient. Future decisions will be data-driven, particularly when it comes down to managing risk and inventory. Historical data will no longer suffice and instead, adaptability and flexibility will be key moving forward. As such, real-time data will be critical for supply chain visibility, allowing businesses to react according to the situation, mitigating the impact of such disruptions. The upcoming SGTraDex will be a game-changer, providing more transparency on cargo movement. Digitalisation will also play a key role to maximise efficiency in light of manpower shortages.
Our Founder and Group Managing Director, Kelvin Lim agrees that flexibility is key and shares in the Views From The Top column, “To this end, it is critical to remain flexible to react quickly to the uncertainty on hand. The importance of longstanding relationships with partners have also come to the fore in such volatile times. Our established network has enabled us to expedite shipping processes and secure competitive shipment slots and rates for our customers while offering valuable insights for us to manage unpredictable freight frequency.”